Redundancy Payments Act 1971

Application of section 20 of Principal Act.

6

6. (1) Where—

(i) a change relating to the control or management of a business (or part thereof) for the purposes of which a person is employed occurs, but a change in the ownership of the business (or part thereof) does not occur,

(ii) section 20 of the Principal Act would have applied to that change if it were a change in the ownership of that business (or part thereof), and

(iii) an employee of the previous owner accepts, before, on or within four weeks of the termination of his contract of employment with the previous owner, an offer by the new owner of employment in the same place of employment and on terms which are either the same as, or not materially less advantageous to the employee than, his existing terms of employment,

the said section 20 shall apply to that change as if a change of ownership of that business (or part thereof) had occurred.

(2) In this section “ previous owner” and “ new owner” mean, respectively, the persons who would have been the previous owner and the new owner within the meaning of the said section 20 if a change of ownership of a business (or part thereof) had occurred.